Answer:
$900,000
Explanation:
Given that,
Perpetuity payment = $100,000
Annual interest rate = 12.5 percent
Total value of investment should be:
= Perpetuity payment ÷ Annual interest rate
= $100,000 ÷ 0.125
= $800,000 (should be as balance on the date of retirement)
The first payment of $100,000 should be on the date of retirement
Therefore,
Total investment on the date of retirement should be:
= $800,000 + $100,000
= $900,000
Answer:
You are looking for a solution to organize your small closet. After visiting the IKEA website you discover the perfect components to make your closet more useful. Marketing just highlighted a benefit for:
You the consumer
Explanation:
Marketing is an aspect of business that can be defined as the act of communicating a company's product information to potential customers with the aim of converting them to loyal customers. In the business world, there is competition for the market share, therefor businesses need to utilize effective strategies that will ensure that they have a bigger share of the market as compared to the competition. Marketing strategies target various audiences that can be beneficial to them.
In our case above, the potential customer had a problem with organizing her closet in such a way that the closet can be more spacious. She decided to visit IKEA which is a multinational group that deals with the selling of ready-to-assemble furniture. The information from the website helped her determine the perfect components to make her closet more useful. The marketing highlighted a benefit for her as a consumer.
a. revenue tariff----------------a 6% tariff on oranges to provide money for the government.
Revenue tariff alludes to a set of rates planned for expanding public revenue. It can likewise be said as a tax exacted on import and fare to fund-raise for the government. Revenue tariff is any schedule or arrangement of rates or changes that are proposed to create income for the government.
b. protective tariff---------a 50% tariff on oranges to shield domestic orange growers from international competition.
Protective tariffs are tariffs that are established with the point of ensuring a domestic industry. Tariffs are likewise forced keeping in mind the end goal to raise government income, or to decrease a bothersome action. In spite of the fact that a tariff can all the while secure household industry and procure government income, the objectives of assurance and income augmentation recommend distinctive duty rates, involving a trade off between the two points.
c. retaliatory tariff-----------a 200% tariff on oranges to reply to a high tariff imposed by another country.
Retaliatory tariff refers to a tariff imposed as a methods for constraining a foreign government and expected to urge the give of correspondence benefits.
Retaliatory tariff is a tariff imposed to pressure another nation into evacuating its own tariffs or making exchange concessions.
Answer:
The correct answer for option (a) is 7.17% and for option (b) is $48,546.69.
Explanation:
According to the scenario, the given data are as follows:
(a) Present value = $3,000
Future value = $6,000
Time period = 10 years
So, we can calculate the annual rate of return by using following formula:
Rate of return = (( FV ÷ PV)^1/t -1)
= (( $6,000 ÷ $3,000)^1/10 -1)
= (2)^0.1 - 1
= 1.07177346254 - 1
= .07177 or 7.17%
(b) Present value = $12,000
Rate of interest (r) = 15%
Time period = 10 year
So, we can calculate the Future value by using following formula:
FV = PV × ( 1+r)^t
= $12,000 × ( 1 + 15%)^10
= $12,000 × 4.04555773571
= $48,546.69
Explanation:
International business can be defined as the expansion of the activities of a certain company, such as its goods and services, technologies, resources, ideas and other variables beyond national borders.
Internationalizing business activities is increasingly common in a globalized economic society, where companies seek to expand to locations that present opportunities to gain market and facilities for the implementation of the company. Many countries have favorable conditions to encourage the entry of foreign companies, such as red tape, government agreements, cheap labor, tax cuts, etc.
One factor that contributed to the internationalization strategy becoming a common practice by large companies was technological innovations, which made it possible to shorten logistical distances by means of efficient and faster means of transport, and another example was also the creation of the internet, which streamlined communication by making processes faster and easier.
